Conditions on the money and capital markets remain challenging. Account balances in Swiss francs and euros have been earning little or no interest for some time now. Banks expect this period of low interest rates to continue for some time. Consequently, it is becoming increasingly difficult for banks to compensate for the economic consequences of negative interest rates.
Banks therefore started to pass on the negative interest rates to their customers some time ago, as the banks can no longer avoid this development. For this reason, as of July 1, 2021, fees will be introduced at another bank from a lower threshold value. This threshold will be CHF 250,000 as of July 1, 2021; previously it was CHF 2 million.
Currencies: Standard rate: Threshold:
Swiss francs, 0.75%, from CHF 250'000.-
Euro, 0.60%, as of EUR 250'000.-
This means that for an account balance of CHF 250,000, CHF 1,875 (0.75%) will be deducted annually due to these fees. The earned capital thus decreases annually instead of increasing.
Inflation also comes into play. Since the national economy strives for constant growth, there are also more frequent phases with rising prices = continuous slight inflation. This in turn means that the money, which is earned and additionally decreases annually by the banks, continues to lose value.
To illustrate the inflation of the last few years and to show how serious this situation is, the following is a graph:
This graph illustrates in a slightly satirical way how inflation has been slowly "robbing" society over the years. Since, as already mentioned, the national economy is interested in constant economic growth, this will not return to normal in the future as it did in 1998.
Under these circumstances, concerning inflation, at least the earned money should stay on a safe account with a fixed interest.
Register today and invest your money in an investment where you get a fixed interest of 4.25%!!!
